Wednesday, February 27, 2008

UPDATE: Suzanne Somers

Looks like the always entertaining and forever blond actress, writer, cancer survivor and unlikely tycoon–yes, babies, she is a tycoon–Suzanne Somers and her huzband Alan Hamel have had a real estate reality check on Le Baux de Palm Springs, their 70 acre hideaway tucked up into the hills overlooking Palm Springs, a town Your Mama and the Dr. Cooter luv to visit but where even the young people are old enough to collect the social security.

Even though the exuberantly decorated 10 bedroom and 9 bathroom property came flying on to the market with all manner of press and publicity, the Duke of Ormonde whispers in Your Mama's big ear that "no one has even bothered to tour" the quirky compound with it's hair raising $35,000,000 price tag.

Now puppies, we don't know if "no one" means only one or two looky-loos or if "no one" means not a single soul wanted to see the Somers/Hamel residence at the original asking price, but hopefully for Miz Somers and her big white teeth, the new and improved asking price of $27,500,000 will bring out a few deep pocketed desert dwellers looking for a new home to park their fleet of customized golf carts.

Morning all!Mama, first of all, thanks for the link for Le Baux de Palm Springs. The site, in an over-the-top way, gives a real overview of the property. Just a beautiful, beautiful space. How nice that these two have the money to own, restore and keep up a property like this rather than just have it ripped down to be replaced with ticky-tacky.So...I'm thinking high-end guesthouse? And, yes, as much as it would be a stretch...I will volunteer to live in the guest house.Sacrifices must be made. PeaceJoel

How far is this from the center of town? It seems a little isolated and I'm not sure I'd want to be so far from civilization. You never know when you need a neighbor to save you from a crazy desert animal or something. Cool place, though!

Parker - This is in the Mesa area of Palm Springs. It's maybe 10 minutes tops from downtown, and that's if you hit the traffic lights. The location is fabulous and the amount of land can not be matched.

Good taste! The stone guest house was the only part of the estate I liked when Mama first posted it back in January. Lots of zany comments then, from zebra skins to tarantulas. It has some lovely vignettes, but they just don't tie together into a cohesive property.

She's simply asking too much money for it, even though my understanding is that it's not so far out of town; she probably needs the cash to finish the new compound she's building on a more modest plot (15 vs 70 acres, I think) on the other side of the ridge.

I don't think Suzanne needs the money to finish her now compound...Mama's right, she's a tycoon. If there is one thing Suzanne Somers knows how to do it is sell. This place will sell.

The place ain't worth 35 million, I would say 20-25 is more likely because of the land. Remember everyone Suzanne Somers has owned this house for 30 years, she's going to make a load of money off it at whatever price it sells at!

She's working on two new houses at once (a replacement beach house and the new desert house) but the interview I read didn't sound like they need the money to finish either project. She says in the interview that they were just ready for a new adventure. I wouldn't underestimate the value of the 70 acres. Most of the open land around Palm Springs belongs to indian tribes.

$20 is probably right for now, and it could rank in the teens later. The trouble is finding a buyer for this "weekend" house. The location and land is why the price is high. There are plenty of $1 $2 and $3 million dollar homes for sale in the area that would suit anyone fine as a "weekend" home. And there are even more "year round" homes available for well under $10million. Maybe Tim Blixseth would be interested now that he has vacated Porcupine Creek? Now that is a fine estate.....

I don't think this property can really be compared to any single family (or even single family + guest house). It has to attract one of two types of buyer - a very wealthy person who wants the privacy of 70 acres or a corporation that will turn it into a retreat. I guess a third option would be an investor/group that would rent it out for retreats.

What is with the zebra rugs and furniture in every room? That would have to go ASAP. This is Palm Springs not Tanzania. I checked this out on Google Earth 33.8012, -116.551. Very small buildings. And not much room for a tennis court or anything else due to very steep hills. The pool is a tiny bathtub and the spa has sharp stones around it's edges, not good on the neck! Went overboard on to much sharp stone in the wrong places.

These buildings sit up on a raised knob backed into a steep canyon. No view of downtown, it's blocked off by a hillside. Only East Palm Canyon Dr southward. However, they do have their own small road(Alta Vista Rd).

I guess there is another average joe out there who is still a broke joe and a complete loser because he has to try to be me....

In regards to palm springs, the american buyers are getting fewer and far between,I am sure you have seen the news lately as their wealth been reduced by 50% including the Euro problem, what is left are the Europeans in this price range and they buy in Europe, LA, NY, SF, Chicago, not palm springs.

You have a decent house on 70 acres and unless you can get strike oil or build a casino on them they are pretty much worthless, this is the desert folks, land is cheap down here.

By the way I have been noticing a new trend in NY, folks have signs in their stores (accept euros only) I wonder if it will spread out to here.

I say when the RE market corrects itself the place will be worth in the million dollar range, remember it is palm springs, now if it was 70 acres of golf course then that would be a different story.

Speaking of acres I wonder if those acres of land above the hollywood sign have been sold yet for 20MM ?

Oh one more thing, Wall Street is still up because Bernake keeps giving them half point cuts, when that stops the Wall Street and RE will have a major market correction, then we will really know the true value of homes across the US and stocks.........

no highend deals lately in palm springs, remember the buyer for this place would have to make 70 MM to buy it for 35 MMor make 10 MM a year to get approved for financing, but then again someone mentioned that highend real estate like this usually attracts cash buyers.........

How many folks do you know that make 70 MM a year ? 40 MM a year that buy in palm springs ? not BH, Bel Air, Malibu, NY Chicago, SF, London, but palm springs...... I know plenty who make that kind of money but they do not buy in palm springs...

You're so obsessed with your desire for the bottom to fall out of the market that you don't actually do your research or pay any attention to what's actually going on out there. Have you ever been to Palm Springs? Have you ever looked at the MLS listings in the Coachella Valley?

You clearly have no idea what you're talking about when it comes to who buys in the Palm Springs area and how many seriously monied people are out there with second, third, and fourth homes.

There are currently 50+ homes on the market in the $5M+ range. While I'm sure they're not moving as quickly as they once were, there are seriously high end buyers in the Palm Springs area.

That' said, I'm not defending Ms. Somer's asking price, I'm just saying that maybe instead of spouting off all this nonsense you should actually do some research.

The Palm Springs area (where I live) real estate market is currently over-stocked with property. Two of the areas former highest producing agents are now working in Macys (department store). One is selling cars. One (that we know about) has committed suicide.Loan & Title companies are laying off their workforces.

The sad thing is that very few of those people who "made it big" in real estate in this area have anything to show for it. They enjoyed the money. Took lavish vacations. Remodeled their homes. Bought high end cars.And now they are working at Macys.

I am sure their are some agents actively marketing Suzannes home. But for the money, you can do better in Bighorn. (or many other desert communities).

I don't know who is posting as "the real average joe said...." but they are lying!

I am the original and only Average Joe. I live in an apartment in Los Angeles while I wait for the prices to go back to 1988 levels so I can afford to buy a 4 million dollar house for 100 thousand. It will happen and you will all be sorry!

thank you, you are on point, btw I flew over that estate today in a helicopter I rented, yes I am down here in Palm Springs looking for an extra place for relaxation.... and it is nothing but desert, cactus, snakes, scorpions, unless I could build a windfarm or a casino on that acreage to me and the agent I was with did agree with me...... the acreage is basically worthless, I bet though that they will sell it for 30 MM to themselves, not illegal but highly unethical.... a lot of highend sellers are doing that these days.....

remember that movie "Rogue Trader" that was a story of when a trader for Barrings bank was betting the pound against the yen and caused a billion dollar institution to go out of business." What happend in that movie is very similar to what is happening to day, I am sure that in a year or so 90 percent of the realtors, brokers will be out of business and onto other careers........ I have a lic so I know first hand how bad it is out there..... I also know that there is no law preventing lets say me, to form a shell corporation and buy my home at full value and to keep my prices of my other homes in the area artifically high.

One more point, those that are hostile on this blog are most likely realtors, or current homeowners that are trying to hide the truth or are in denial.

Here is the problem, there are numerous blogs now with millions of protesters, all they want it the system that F**** us all to recorrect itself, but the feds are trying to delay that........ BIG MISTAKE.... they could bankrupt this country with these delays, and ironically the fed is it's own country they work for the US and they could sell us out to the Europeans..... it would be ironic if the US dollar transforms into the EURO.....

Some shopkeepers in NY are now only accepting Euros, anyway the inevitable is going to happen, I have my 5 years of a rainy day saved up so I am going to be just fine........

So I have to admit a bit of curiousity here...while I don't think the downturn that is approaching (or which has already arrived) will be as bad as The Great Depression...what do you plan on doing after your five years worth is depleted?

It will take an extended period to economically work out the various rough spots of this nauseatingly named "perfect storm" bubble bust. The hardest hit will be those who are living beyond their means as I used to.

I work in an industry where I come into contact with these type of folks everyday. The desperation in their voices has been steadily growing since early fall and, no, I'm not exxagerating.

The reason for this small rant? Let's all not forget one thing...behind every forclosure, including Mrs. Hearst in Florida, is a person who thought they were doing the right thing...who thought they were doing good. Let's not forget the human faces behind the statistics. Enjoy your Friday.

So I have to admit a bit of curiousity here...while I don't think the downturn that is approaching (or which has already arrived) will be as bad as The Great Depression...what do you plan on doing after your five years worth is depleted?

It will take an extended period to economically work out the various rough spots of this nauseatingly named "perfect storm" bubble bust. The hardest hit will be those who are living beyond their means as I used to.

I work in an industry where I come into contact with these type of folks everyday. The desperation in their voices has been steadily growing since early fall and, no, I'm not exxagerating.

The reason for this small rant? Let's all not forget one thing...behind every forclosure, including Mrs. Hearst in Florida, is a person who thought they were doing the right thing...who thought they were doing good. Let's not forget the human faces behind the statistics. Enjoy your Friday.

Hey Average Joe, if the market falls the way you hope it does, what makes you think you'll have a job that pays enough to cover the mortgage and/or the upkeep on the $4M estate you'll buy for 100 grand? Or even the monthly costs on a modest condo?

You realize don't you that even when the economy sucks, it costs a lot of money to take care of a big house.

And you must also realize that if the bottom drops out of the real estate market, and you might be right that it will, hold on to your pennies, because it's not just real estate agents who will suffer, but all the people like you who will lose their jobs or have to take much lower paying jobs because the economy got flushed down the toilet.

Do you really think that in the 1930 depression when the market tanked that all the lower income people were all the suddenly able to buy houses? Dude they sold apples on the corner so they could by some flour and sugar, they were'nt out house hunting.

So while you gleefully pray and wait for the real estate market to sink to 1970s levels (or whatever), try thinking about the larger ramifications of what that would mean to the entire economy and also what it means when you gotta work at The Pink Dot to pay your car insurance.

I'm not saying there's no need for a correction or that the prices are sustainable, but the real estate market does NOT tank without the rest of the economy following suit.

Well all I have to say is today we have the internet, computers, credit cards, massive amounts of technology unlike the 1920's so I do not think we will end up like the great depression.

Also a 4MM house would bottom out at 1MM if it was not for the scam loans that is what their price would be today...... 1MMnot 4MM

Keep in mind to get a 1MM house you have to make 200k a year to comfortably make the payments and that is what I am basing prices on, folks income......

No matter how you slice it, you have to make at least 8k a month in payments on a 1MM dollar house with insurance, taxes, upkeep.

4MM house would be 40k a month in payments which would mean you would have to make 1MM a year to afford one how many of us can make 1MM a year for the next 30 years ?

The majority of americans can make 60k to 100k a year for the next 30 years, that is it, that equates to a 100k and in 30 years 400k a home for affordability.

With that said I predict with the corrections, a 20MM house will sell for 5MM a 15MM house will sell for 3MM and a 10MM house will sell for 2MM, a 1MM dollare shack will be back down to 200k and so on, that is based on real income to loan ratios that real hard working folks can afford.

Further more, now the news is saying that 6 million are going to walk away from their home loans ? I would say that the majority of them are our maids, butlers, servants, bartenters, servers, cab drivers, carpenters, ie; the hired help..........

it would be ironic if the hired help took this great nation of ours down into the gutter with their lies and deceit on the applications and the agents, bankers were to greedy to stop it.

Of course there are doctors, lawyers, business owners somewhere on this food chain, but the majority of those that are helping to sink this ship could not afford these homes in the first place....

I mean imagine a realtor giving a maid, gardener, bus driver a million dollar house to move into with no money down, payments of 1k a month for 3-5 years..... I still cannot understand on how we fell for it as a nation......

a real estate agent does not give a maid a million dollar house or even approve them to purchase a house...a bank/lender does that. a real estate agent merely facilitates the transaction. They can't squeeze blood from a turnip the way that perhaps a shady mortgage person can.

And what does having "the internet, computers, credit cards, massive amounts of technology" have to do with whether the economy tanks or not?

All I'm saying to you is that if the real estate market goes the way you so gleefully wish for and predict, then we're ALL gonna be screwed, maids, mortgage brokers, doctors, car washers etc. Well, okay, except for those with net assests in excess of 3 or 5M. Maybe.

Again, i'm not saying a serious correction isn't needed (or coming) in the market, but your doom and gloom scenario might be better received and appreciated on that mortgage panic blog you mentioned.

"your doom and gloom scenario might be better received and appreciated on that mortgage panic blog you mentioned."

Especially since this is an entertainment blog where we come to read about the wheeling and dealings of celebrities who are going to be the last affected (if at all).

Not to sound like those who suggested LGB start his own blog but IMHO, "average joe" should either start his own or at least find one to post on with readers of similar interests. He might find his comments better received.

what if the maid lied and said that she owned a cleaning company, a carwash, restaurant, an airport ?

a majority of the incomes were falsified as well as the source of the incomes, I have seen it myself in person, consuela comes in to buy a house, she drives up in a 10k car, says she makes 200k a year, we are all snickering of course but the boss says "sign her up !!!" and what the boss wants the boss gets.......

that is your typical scenario here, doctors, lawyers, businessmen have families, reps in the community, they certainly do not want to be known as dead beats.........

I think maybe a few doctors, lawyers, businessmen are walking away but a majority of the 6 million that are walking away have no roots in this country, they are just starting out.......

of course there are a few bad apples that have used their homes as atm cash machines, but that is a very few, and they are most likely new in this nation.

btw did you see the market today ?

down 315, now I bet that another scam will get cooked up over the weekend and the market will go up 600 on monday, the market will continue to have this effect until the little guy wises up and takes out all of their money............ but of course by that time it will be to late.....

Hello, kind people. this is Mrs. average jane...joes wife. I am sorry for all the upset he has caused on this site.we have a rough life in our studio apartment, I went through this with him when average uncle jack gave him these stock magazines to read in fall of 1987 . well, average joe went crazy predicting the 87 crash, he was a hero in our mobile home park (where we lived then)but of course a few days , weeks later, life when on, average joe never invested any money in the market so we never really benefited when it went down for a bit.. and then up again, and we don't have really much extra, to buy any property..never did, cause joe is afraid of risk, any kind of risk, going out and getting a job is risky, cause he might get hit by a car,but at least we ain't going to go down in this real estate market, cause we never got in it. so I guess my joe is a winner..... sorry for all the upset he is causing around here, hope he finds another hobby soon, kids are hungry....signed. average jane

Git yur butt back in the kitchen woman! I tol you to stay away from the machine. Damn Woman! Now all these people know I'm nothing more than white trash the maid wouldn't hire to mow her lawn! If I had any sense I'd leave but then I wouldn't even have your $12.90

Question for one of the average Joes. How is it possible for someone to open a fake company and buy their own property just to keep the prices up in an area--as you are suggesting that Mrs. Somers would do to keep the value of the area up?!!? I need some clarification. Thanks! =)

It is common knowledge that anyone with big bucks cam create shell companies and those companies can buy their properties at outrageous prices thereby keeping the prices up in the neighorhood, ask any business lawyer and he will tell you.

This place looks decked out to become a high end bed and breakfast. Maybe she could sell to herself, then film a reality TV show about a blonde maid working at a high end bed and breakfast for the rich and famous, in the palm springs desert.

Ok, average joe...I mean "anon 9:47" since average joe is on "vacation"...I'll bite.

Just because you *could* do it, why *would* someone do it? Good will towards the neighbors by helping them have equity in their houses? And what about the property taxes that are going to go up accordingly with each inflated sale?